Oil and Gas production increases 4.6% in 2018

Statistics announced today by Scotland’s Chief Statistician show that oil and gas production in Scotland, including Scottish adjacent waters, is estimated to have been 77.2 million tonnes of oil equivalent*. This was an increase of 4.6% compared to 2017, and accounted for 82 per cent of total UK production.

In the latest year, production of crude oil and natural gas liquids (NGL), which account for around two thirds of the total, increased by 8.5%, while extraction of natural gas decreased by 3.1%. Production is at its highest level since 2011, but remains substantially below the peak reached in 1999.

The approximate sales value of oil and gas produced in Scotland is estimated to be £24.8 billion in 2018. This has increased by 30.1% compared to 2017 due to the significant rise in oil and gas prices over the year. Operating expenditure, not including decommissioning, has increased to £6.0 billion. Capital expenditure in Scottish adjacent waters decreased to £5.3 billion.

Background

* Tonnes of Oil Equivalent or TOE is an established measure of volume for oil and gas that allow comparisons between Oil, Gas and NGLs (Natural Gas Liquids).

Oil and Gas Production Statistics includes estimates of oil and gas production activity in Scotland (including Scottish adjacent waters). It reports production volumes, approximate sales income, operating costs and capital expenditure.All statistics in this publication are consistent with information published by the Department for Business, Energy and Industrial Strategy (BEIS) and the Oil and Gas Authority (OGA) for total UK oil and gas production, income and expenditure. Estimates for Scotland are based on production data for each individual oil and gas field which is located in Scotland or Scottish adjacent waters.